Centralised office supply procurement deal to save government money

A new centralised procurement deal has been struck by the government that is set to deliver significant savings over the coming years.

Two contracts managed by HM Revenue and Customs (HMRC) are being introduced to replace the previous system, which saw departments independently purchasing items such as pens and paper, often for different prices.

In doing so, the number of catalogue line items has been reduced from 15,000 to 3,500, with a focus on environmentally friendly and recycled products.

This new arrangement is predicted to offer potential savings of more than £18 million per year, with greater cost reductions set to be unlocked as the list of items is rationalised further.

Cabinet Office minister Francis Maude said: "Centralising our procurement in areas like this will save the government and therefore taxpayers millions of pounds."

This comes after a centralised HMRC print contract was awarded last month, replacing 140 separate arrangements and unlocking possible savings of £21 million per annum.

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